# ASC 360-958: Property, Plant, and Equipment — Not-for-Profit Entities Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/360/958/) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T00:10:33.971Z to 2026-09-10T00:11:05.946Z Record version: sha256:73accc3b191b1c2d8c2a3b13c83dc131d3d8310559a4c2b62f9922e08478ad44 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958: Property, Plant, and Equipment — Not-for-Profit Entities ### Machine-generated study aids ```json { "summary": "This subtopic governs long-lived tangible assets held by not-for-profit entities, including contributed property, plant, and equipment and collection items. Its core rules are that all NFPs must recognize depreciation on long-lived tangible assets (360-958-35-1), that contributed PP&E is recognized under the Contributions Received Subsections of 958-605 with initial measurement including all costs to place the asset in use (360-958-30-1), and that an NFP holding a \"collection\" may elect one of three policies—full capitalization, prospective capitalization, or no capitalization—but capitalizing selected items is precluded (360-958-25-3).", "key_points": [ "All NFPs shall recognize depreciation on long-lived tangible assets (360-958-35-1), and grant or reimbursement 'allowable cost' terms do not affect recognition or measurement of depreciation for financial reporting (360-958-35-7).", "Works of art and historical treasures not part of a collection must be recognized as assets (360-958-25-2); contributed collection items need not be recognized, and the NFP must elect capitalization of all items, prospective capitalization, or no capitalization—selective capitalization is precluded (360-958-25-1 through 25-3).", "Depreciation need not be recognized on an individual work of art or historical treasure only if verifiable evidence shows both perpetual cultural, aesthetic, or historical value worth preserving and the holder's technological and financial ability to preserve the service potential essentially undiminished, and is doing so (360-958-35-3 through 35-4).", "Buildings, structures, landmarks, and monuments—and items comprising collections in the ordinary sense—are depreciated because wear, pollutants, and vibrations use up their service potential (360-958-35-5), and capitalized major preservation or restoration costs are depreciated until the next expected effort (360-958-35-6).", "Purpose-restricted contributions of PP&E without a donor time stipulation, and cash restricted for acquiring or constructing PP&E, are reclassified in full to net assets without donor restrictions when the asset is placed in service (360-958-45-1A); an explicit donor time restriction instead releases over the specified period, an amount that may differ from depreciation (360-958-45-1).", "An NFP that does not capitalize (or capitalizes prospectively) must show a statement of financial position line item referring to the collections disclosures, and report purchases, sale proceeds, and insurance recoveries of noncapitalized collection items on the face of the statement of activities separately from revenues, expenses, gains, and losses (360-958-45-3, 45-5).", "Required disclosures include the capitalization and collection policies and basis of valuation (360-958-50-1), liquidity and limitations on use of PP&E such as liens and donor restrictions (360-958-50-3 through 50-4), and the policy on use of deaccession proceeds including the definition of 'direct care' (360-958-50-7)." ], "categories": [ "Not-for-profit", "Inventory and PP&E", "Disclosure", "Subsequent measurement" ], "audience_level": "intermediate", "student_note": "Exam questions focus on the three-way collection capitalization election (all, prospective, or none—never selective) and the narrow exception from depreciation for individual works of art, which requires BOTH perpetual value and demonstrated preservation ability. A common misunderstanding is releasing restrictions on donated PP&E over the asset's useful life; absent an explicit donor time stipulation, the entire amount is reclassified when the asset is placed in service.", "related_topics": [ "958-605", "958-205", "958-220", "360-10", "958-10", "958-360" ], "key_concepts": [ "collections", "collection capitalization policy", "depreciation of long-lived assets", "works of art and historical treasures", "contributed property, plant, and equipment", "net assets with donor restrictions", "placed-in-service release of restrictions", "deaccessioning and direct care" ] } ``` Source downloaded (UTC): 2026-09-10T00:10:33.971Z to 2026-09-10T00:10:33.971Z Record version: sha256:65222098c50f55a0bd992610a48e70409e8e81c2fb27a6e03d9a85aba5699607 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/360/958/#00-status) SEC content: no ##### [360-958-00-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-00-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:33.971Z to 2026-09-10T00:10:33.971Z Record version: sha256:e0857b033364b4b41fc47b970e0e33a84686d23e13968546f9786651cbb089f0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table identifies the changes made to this Subtopic.
ParagraphActionAccounting Standards UpdateDate
CollectionsAmendedAccounting Standards Update No. 2019-0303/21/2019
Conditional ContributionAddedAccounting Standards Update No. 2018-0806/21/2018
ContributionAmendedAccounting Standards Update No. 2018-0806/21/2018
ContributionAmendedAccounting Standards Update No. 2010-0701/28/2010
Donor-Imposed ConditionAddedAccounting Standards Update No. 2018-0806/21/2018
Donor-Imposed RestrictionAmendedAccounting Standards Update No. 2016-1408/18/2016
Donor-Restricted SupportAddedAccounting Standards Update No. 2016-1408/18/2016
Net Assets with Donor RestrictionsAddedAccounting Standards Update No. 2016-1408/18/2016
Net Assets without Donor RestrictionsAddedAccounting Standards Update No. 2016-1408/18/2016
Promise to GiveAddedAccounting Standards Update No. 2018-0806/21/2018
ReclassificationSupersededAccounting Standards Update No. 2016-1408/18/2016
Reclassification of Net AssetsAddedAccounting Standards Update No. 2016-1408/18/2016
Restricted SupportSupersededAccounting Standards Update No. 2016-1408/18/2016
Temporarily Restricted Net AssetsSupersededAccounting Standards Update No. 2016-1408/18/2016
Unrestricted Net AssetsSupersededAccounting Standards Update No. 2016-1408/18/2016
Unrestricted SupportSupersededAccounting Standards Update No. 2016-1408/18/2016
958-360-35-8AmendedAccounting Standards Update No. 2016-1408/18/2016
958-360-40-1SupersededAccounting Standards Update No. 2016-1408/18/2016
958-360-45-1AmendedAccounting Standards Update No. 2016-1408/18/2016
958-360-45-1AAddedAccounting Standards Update No. 2016-1408/18/2016
958-360-45-2SupersededAccounting Standards Update No. 2016-1408/18/2016
958-360-45-6AmendedAccounting Standards Update No. 2016-1408/18/2016
958-360-45-7AddedAccounting Standards Update No. 2016-1408/18/2016
958-360-50-1AmendedAccounting Standards Update No. 2016-1408/18/2016
958-360-50-4AmendedAccounting Standards Update No. 2025-1212/17/2025
958-360-50-7AddedAccounting Standards Update No. 2019-0303/21/2019
958-360-55-2AmendedAccounting Standards Update No. 2016-1408/18/2016
Source downloaded (UTC): 2026-09-10T00:10:36.640Z to 2026-09-10T00:10:36.640Z Record version: sha256:1459defb32c94f62304bbaf03df8aa4747a209ceb37e91e1969cf0e2c8644a78 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/360/958/#05-overview-and-background) SEC content: no ##### [360-958-05-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-05-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:36.640Z to 2026-09-10T00:10:36.640Z Record version: sha256:d699d30235b509c1cf187300a408cd305e5e284c6e097609f95caf5ffd8ba085 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic provides guidance about long-lived tangible assets held by [not-for-profit entities](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFPs). It includes standards of financial accounting and reporting that require all NFPs to recognize the cost of using up long-lived tangible assets—depreciation—in financial statements. Source downloaded (UTC): 2026-09-10T00:10:38.635Z to 2026-09-10T00:10:38.635Z Record version: sha256:7eb0722fc1544dbc62bdd34f272489fc0ccb326c542d8d2b6ad17a771218c557 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/360/958/#15-scope-and-scope-exceptions) SEC content: no #### Overall Guidance ##### [360-958-15-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-15-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:38.635Z to 2026-09-10T00:10:38.635Z Record version: sha256:e7d29df66d02107cf10c9e2276e80c0e5b06acd094d7c3c42c4d6b32c0ff5d08 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section 958-10-15. Source downloaded (UTC): 2026-09-10T00:10:44.016Z to 2026-09-10T00:10:44.016Z Record version: sha256:268f2722f7e75be03a075fbbfe08405fcaa939310e8efddeaca046e086b4b668 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-25: 25 Recognition [Read section](https://asc.understandingaccounting.org/asc/360/958/#25-recognition) SEC content: no ##### [360-958-25-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-25-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:44.016Z to 2026-09-10T00:10:44.016Z Record version: sha256:28dcb3f245de994f64e8bf24dbffff2e13f82d18ced52e5af65351704348cf9f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Property, plant, and equipment acquired by [contribution](https://asc.understandingaccounting.org/glossary/c/#contribution "An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.") is recognized in accordance with the Contributions Received Subsections of Subtopic 958-605. However, a [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) need not recognize contributions of works of art, historical treasures, and similar assets if the donated items are added to [collections](https://asc.understandingaccounting.org/glossary/c/#collections "Works of art, historical treasures, or similar assets that meet all of the following criteria: They are held for public exhibition, education, or research in furtherance of public service rather than financial gain. They are protected, kept unencumbered, cared for, and preserved. They are subject to an organizational policy that requires the use of proceeds from items that are sold to be for the acquisitions of new collection items, the direct care of existing collections, or both. Collections generally are held by museums; botanical gardens; libraries; aquariums; arboretums; historic sites; planetariums; zoos; art galleries; nature, science, and technology centers; and similar educational, research, and public service organizations that have those divisions; however, the definition is not limited to those entities nor does it apply to all items held by those entities.") (see the following paragraph and paragraph [958-360-25-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-25-3)). #### Works of Art, Historical Treasures, and Similar Items ##### [360-958-25-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-25-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:44.016Z to 2026-09-10T00:10:44.016Z Record version: sha256:48d8b48071cc875328ea5acf0226969d6cda75ccb10fe905fffbdd513c98bb46 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Works of art, historical treasures, and similar items that are not part of a collection shall be recognized as assets in financial statements. ##### [360-958-25-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-25-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:44.016Z to 2026-09-10T00:10:44.016Z Record version: sha256:8e1ceb6d8a77489aa7cdf8bc59972c544a1b648d7ef61d140e3532ccc5005e0e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An NFP that holds works of art, historical treasures, and similar items that meet the definition of a collection has the following three alternative policies for reporting that collection: 1. a Capitalization of all collection items 2. b Capitalization of all collection items on a prospective basis (that is, all items acquired after a stated date) 3. c No capitalization. Capitalization of selected collections or items is precluded. Source downloaded (UTC): 2026-09-10T00:10:47.888Z to 2026-09-10T00:10:47.888Z Record version: sha256:594fe72f4707ec72feef5d34a2c0499e8af648e26215a92cca549f88fa0ac542 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/360/958/#30-initial-measurement) SEC content: no ##### [360-958-30-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-30-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:47.888Z to 2026-09-10T00:10:47.888Z Record version: sha256:a66a44e645d50a70a709d4cdd5cbb3eafbcb93e7f4ad24423ad18b5c87407e14 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Similar to items acquired in exchange transactions, the amount initially recognized for contributed property, plant, and equipment shall include all the costs incurred by the entity to place those assets in use. Examples of such costs include the freight and installation costs of contributed equipment and cataloging costs for contributed library books. Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:5b466d61dbf6bd7d18668700bb49a7685270d3a7166fa90b931ed28c70bc1d72 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-35: 35 Subsequent Measurement [Read section](https://asc.understandingaccounting.org/asc/360/958/#35-subsequent-measurement) SEC content: no #### Depreciation ##### [360-958-35-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:f6de699e43d5a823ceecba2cdef2b0dc0823b88d1fb3007bf43432454ced8530 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) shall recognize the cost of using up the future economic benefits or service potentials of its long-lived tangible assets—depreciation. ##### [360-958-35-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:ab20a3ccd9d76f338817c7fccc18db9c2401cf8fe0d7e79c45790e9662f126fd Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The process of using up the future economic benefit or service potential of land often takes place over a period so long that its occurrence is imperceptible—land used as a building site is perhaps the most common example. In contrast, however, that process also sometimes occurs much more rapidly—land used as a site for toxic waste, as a source of gravel or ore, or for farming under conditions in which fertility dissipates relatively quickly and cannot be restored economically are examples. ##### [360-958-35-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:993c7c9059aed95592cba60b3115acf351685e96788282f92ef1fe1de1bb3958 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Consistent with the accepted practice for land used as a building site, depreciation need not be recognized on an individual work of art or historical treasure whose economic benefit or service potential is used up so slowly that its estimated useful life is extraordinarily long. A work of art or historical treasure shall be deemed to have that characteristic only if verifiable evidence exists demonstrating both of the following characteristics: 1. a The asset individually has cultural, aesthetic, or historical value that is worth preserving perpetually. 2. b The holder has the technological and financial ability to protect and preserve essentially undiminished the service potential of the asset and is doing that. ##### [360-958-35-4](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:eb00d408c6a8e18e9452a092f51319eec97e290a0b717003c13fa7a0ab968ef3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A recognized cultural, aesthetic, or historical value and, generally, an already long existence have established each work of art or historical treasure as a member of a group of rare works with that characteristic. Most of them are acquired by purchase, gift, or discovery with that characteristic already having been demonstrated, and the holder or acquirer usually takes steps to protect and preserve it, for example, by keeping a work of art in a protective environment and limiting its use solely to display. While that characteristic is not limited to assets with an already long existence, an asset that has come into existence relatively recently cannot be assumed to have it in the absence of the verifiable evidence described in the preceding paragraph. For example, to put a painting in a protective environment is not by itself evidence of cultural, aesthetic, or historical value that is worth preserving perpetually. ##### [360-958-35-5](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:c8fd2156c1e4de125ef482e9e51dca3bb0f11797d7c9bd98adf0bea8a5465f70 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The future economic benefits or service potentials of individual items comprising [collections](https://asc.understandingaccounting.org/glossary/c/#collections "Works of art, historical treasures, or similar assets that meet all of the following criteria: They are held for public exhibition, education, or research in furtherance of public service rather than financial gain. They are protected, kept unencumbered, cared for, and preserved. They are subject to an organizational policy that requires the use of proceeds from items that are sold to be for the acquisitions of new collection items, the direct care of existing collections, or both. Collections generally are held by museums; botanical gardens; libraries; aquariums; arboretums; historic sites; planetariums; zoos; art galleries; nature, science, and technology centers; and similar educational, research, and public service organizations that have those divisions; however, the definition is not limited to those entities nor does it apply to all items held by those entities.") (as that term is commonly used, not necessarily as defined within this Subtopic) and of buildings and other structures—including those designated as landmarks, monuments, cathedrals, or historical treasures—are used up not only by wear and tear in intended uses but also by the continuous destructive effects of pollutants, vibrations, and so forth. The cultural, aesthetic, or historical values of those assets can be preserved, if at all, only by periodic major efforts to protect, clean, and restore them, usually at significant cost. Thus, depreciation of those assets shall be recognized. ##### [360-958-35-6](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:0c2745e589046cc60ca7ca31d1c6dbb24d755d165759fb575c211f2a47f93281 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Depreciation shall be recognized on any capitalized costs of major preservation or restoration devices or efforts, which provide future economic benefits or service potentials until the next expected preservation or restoration, regardless of whether depreciation is recognized on the asset being protected or restored. ##### [360-958-35-7](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:53d5e8412aff79493a1d52df87af1636cf517061cf2cd300a559814139b5b0f5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The terms of certain grants and reimbursements from other entities may specify whether depreciation or the entire cost of the asset in the year of acquisition should be included as a cost of activities associated with those grants or reimbursements for contractual purposes (sometimes referred to as allowable costs). Those terms shall not affect the recognition and measurement of depreciation for financial reporting purposes. #### Impairment ##### [360-958-35-8](https://asc.understandingaccounting.org/asc/360/958/#360-958-35-8) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:50.672Z to 2026-09-10T00:10:50.672Z Record version: sha256:ff7303809d721819458cde11ec5e6a254cc366244e26d4bf72fcc05eb9604a36 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. When grouping assets for impairment testing as described in paragraphs [360-10-35-23 through 35-28](https://asc.understandingaccounting.org/asc/360/10/#360-10-35-23) , an NFP that relies in part on [contributions](https://asc.understandingaccounting.org/glossary/c/#contribution "An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.") to maintain its assets may need to consider those contributions in determining the appropriate cash flows to compare with the carrying amount of an asset. If future contributions without donor restrictions to the entity as a whole are not considered, the sum of the expected future cash flows may be negative or positive but less than the carrying amount of the asset. For example, the costs of administering a museum may exceed the admission fees charged, but the museum may fund the cash flow deficit with contributions without donor restrictions. Source downloaded (UTC): 2026-09-10T00:10:54.518Z to 2026-09-10T00:10:54.518Z Record version: sha256:40df6807a442af269d68f83c40eea6e185044fd52a859dc96f935235ddf04e5e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-40: 40 Derecognition [Read section](https://asc.understandingaccounting.org/asc/360/958/#40-derecognition) SEC content: no ##### [360-958-40-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-40-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:54.518Z to 2026-09-10T00:10:54.518Z Record version: sha256:8b03be5268066dc91bf869af11e1d373ad30091c877e1689bb9be62ea28e12f2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-14](https://asc.understandingaccounting.org/updates/asu-2016-14/). #### Disposal of a Collection Item by Contribution ##### [360-958-40-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-40-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:54.518Z to 2026-09-10T00:10:54.518Z Record version: sha256:2be4c0a71d2669e5e1bd749cfed5dcb5961b45a721f6f7251e36bdb4cbc82340 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A [contribution](https://asc.understandingaccounting.org/glossary/c/#contribution "An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.") made by a [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) of a previously recognized collection item shall be reported as an expense and a decrease in assets in the period in which the contribution is made, and shall be measured at [fair value](https://asc.understandingaccounting.org/glossary/f/#fair-value "The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date."). A gain or loss shall be recognized on that contribution made if the collection item's fair value differs from its carrying amount. ##### [360-958-40-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-40-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:54.518Z to 2026-09-10T00:10:54.518Z Record version: sha256:2eae9361763ac789da567764e3690025a0e78c279c8fa3d04ee46992b7a21e66 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A contribution made by an NFP of a previously unrecognized collection item shall not be recognized on the face of the financial statements. Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:3b41609a02211aa3d3a0bf5c30df86fa90cbb47129a240943dbade8af98d151e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/360/958/#45-other-presentation-matters) SEC content: no #### Reclassification upon Expiration of Donor-Imposed Restrictions ##### [360-958-45-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:2d7c96ffa590ac940aa606505a1bdf8458808005b4bcfed148a38f586c538e3e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If the property, plant, and equipment item being depreciated was contributed to the [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) with an explicit [donor-imposed restriction](https://asc.understandingaccounting.org/glossary/d/#donor-imposed-restriction "A donor stipulation (donors include other types of contributors, including makers of certain grants) that specifies a use for a contributed asset that is more specific than broad limits resulting from the following: The nature of the not-for-profit entity (NFP) The environment in which it operates The purposes specified in its articles of incorporation or bylaws or comparable documents for an unincorporated association. Some donors impose restrictions that are temporary in nature, for example, stipulating that resources be used after a specified date, for particular programs or services, or to acquire buildings or equipment. Other donors impose restrictions that are perpetual in nature, for example, stipulating that resources be maintained in perpetuity. Laws may extend those limits to investment returns from those resources and to other enhancements (diminishments) of those resources. Thus, those laws extend donor-imposed restrictions.") on the length of time of the item's use, [net assets with donor restrictions](https://asc.understandingaccounting.org/glossary/n/#net-assets-with-donor-restrictions "The part of net assets of a not-for-profit entity that is subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).") shall be reclassified as [net assets without donor restrictions](https://asc.understandingaccounting.org/glossary/n/#net-assets-without-donor-restrictions "The part of net assets of a not-for-profit entity that is not subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).") in a statement of activities as those restrictions expire. (For how to report a [reclassification of net assets](https://asc.understandingaccounting.org/glossary/r/#reclassification-of-net-assets "Simultaneous increase of one class of net assets and decrease of another. A reclassification of net assets usually results from a donor-imposed restriction (donors include other types of contributors, including makers of certain grants) being satisfied or otherwise lapsing."), see paragraph [958-220-45-3](https://asc.understandingaccounting.org/asc/220/958/#220-958-45-3).) The amount reclassified may or may not be equal to the amount of the related depreciation. The amount to be reclassified shall be based on the length of time indicated by the donor-imposed restrictions, if restrictions exist, while the amount of depreciation shall be based on the useful economic life of the asset. For example, a computer with an estimated useful economic life of five years may be contributed by a donor and restricted for a specific use by the NFP for three years. Absent donor stipulations specifying how long such donated assets or assets constructed or acquired with cash restricted for such acquisition or construction must be used, restrictions on long-lived assets, if any, expire when the assets are placed in service as required by paragraph [958-205-45-12](https://asc.understandingaccounting.org/asc/205/958/#205-958-45-12). ##### [360-958-45-1A](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-1A) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:8c8808c06432c1831164b38bb02eb1aba8238a68865bdc81e54ea0adcce8b8c9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following [contributions](https://asc.understandingaccounting.org/glossary/c/#contribution "An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.") shall be reclassified from net assets with donor restrictions to net assets without donor restrictions when the acquired or constructed property, plant, or equipment is placed in service: 1. a Purpose-restricted contributions of property, plant, or equipment that are without donor-imposed stipulations specifying how long the donated asset must be used 2. b Contributions of cash restricted for the acquisition or construction of property, plant, or equipment. The entire amount of the contribution of property, plant, or equipment or cash shall be reclassified at the time the asset is placed in service. There may be circumstances in which a donor restriction might extend beyond the point at which the property, plant, or equipment is placed in service. For example, a donor might specify that a donation restricted for the acquisition of property, plant, or equipment must continue to be used for a specified period of time. In such circumstances, the restriction would expire over the period of time that the asset is to be used. ##### [360-958-45-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:d36ad4a2e3c46d13f9304927606ca7a852d8360afc9d7193661f59c5571070ad Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-14](https://asc.understandingaccounting.org/updates/asu-2016-14/). #### Works of Art, Historical Treasures, and Similar Assets ##### [360-958-45-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:b4b43941e2125bc18dbb997968199f7a32555d25f0ea713a867bcf8a3486650e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If an NFP does not recognize and capitalize its [collections](https://asc.understandingaccounting.org/glossary/c/#collections "Works of art, historical treasures, or similar assets that meet all of the following criteria: They are held for public exhibition, education, or research in furtherance of public service rather than financial gain. They are protected, kept unencumbered, cared for, and preserved. They are subject to an organizational policy that requires the use of proceeds from items that are sold to be for the acquisitions of new collection items, the direct care of existing collections, or both. Collections generally are held by museums; botanical gardens; libraries; aquariums; arboretums; historic sites; planetariums; zoos; art galleries; nature, science, and technology centers; and similar educational, research, and public service organizations that have those divisions; however, the definition is not limited to those entities nor does it apply to all items held by those entities.") or capitalizes its collections prospectively, a line item shall be shown on the face of the statement of financial position that refers to the disclosures about collections required by paragraph [958-360-50-6](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-6). That line item shall be dated if collections are capitalized prospectively, for example, collections acquired since January 1, 20X1 (Note X). If an NFP adopts a policy of capitalizing collections, a statement of financial position shall include the total amount capitalized on a separate line item, entitled collections or collection items. ##### [360-958-45-4](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:800c5c6f2e03dcfb76cac1a9ab63b520186015e173fc9abafb7755fd9932e95e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The amount capitalized for works of art, historical treasures, and similar assets that do not meet the definition of a collection shall be disclosed separately on the face of the statement of financial position or in the notes. ##### [360-958-45-5](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:8e4bd85438f8f656be7be8a120f09e09330d4387a3ce817a1c1464b2ffcdfc02 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An NFP that does not recognize and capitalize its collections shall report all of the following on the face of its statement of activities, separately from revenues, expenses, gains, and losses: 1. a Costs of collection items purchased as a decrease in the appropriate class of net assets 2. b Proceeds from sale of collection items as an increase in the appropriate class of net assets 3. c Proceeds from insurance recoveries of lost or destroyed collection items as an increase in the appropriate class of net assets. Similarly, an entity that capitalizes its collections prospectively shall report proceeds from sales and insurance recoveries of items not previously capitalized separately from revenues, expenses, gains, and losses. ##### [360-958-45-6](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:cbbb0ea0ae8251e3c2d968b8504d7ce1c60f557364290a2bbd388e9dcb64234d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Example 1 (see paragraph [958-360-55-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-55-2)) illustrates a statement of activities that satisfies the requirements in paragraph [958-360-45-5](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-5). ##### [360-958-45-7](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:10:58.630Z to 2026-09-10T00:10:58.630Z Record version: sha256:0048bb48054d592f6a7860ffd7c86d3c37a0b5dc9efe61001ecaeafd3c218320 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Purpose-restricted [contributions](https://asc.understandingaccounting.org/glossary/c/#contribution "An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.") of works of art, historical treasures, and similar assets and contributions of cash restricted for the acquisition or construction of such assets are reclassified when the restrictions are met in accordance with paragraph [958-360-45-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-1). Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:3bde9363ec0a1bd14f611ee7d3399ffb32b955190bf39d2b4874f128c8acf2e2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-50: 50 Disclosure [Read section](https://asc.understandingaccounting.org/asc/360/958/#50-disclosure) SEC content: no #### Accounting Policies ##### [360-958-50-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:1a3d87442ef22da5a441ffc3226ac72eaa78803a4e608472270077fffebf9bbf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) shall disclose the following accounting policies: 1. a That the entity reports [donor-restricted support](https://asc.understandingaccounting.org/glossary/d/#donor-restricted-support "Donor-restricted revenues or gains from contributions that increase net assets with donor restrictions (donors include other types of contributors, including makers of certain grants).") whose restrictions are met in the same reporting period as support within [net assets without donor restrictions](https://asc.understandingaccounting.org/glossary/n/#net-assets-without-donor-restrictions "The part of net assets of a not-for-profit entity that is not subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).") pursuant to paragraph [958-605-45-4](https://asc.understandingaccounting.org/asc/605/958/#605-958-45-4) if that policy is adopted 2. b [Subparagraph superseded by Accounting Standards Update No. 2016-14](https://asc.understandingaccounting.org/updates/asu-2016-14/). 3. c The capitalization policy adopted 4. d The capitalization policy for [collections](https://asc.understandingaccounting.org/glossary/c/#collections "Works of art, historical treasures, or similar assets that meet all of the following criteria: They are held for public exhibition, education, or research in furtherance of public service rather than financial gain. They are protected, kept unencumbered, cared for, and preserved. They are subject to an organizational policy that requires the use of proceeds from items that are sold to be for the acquisitions of new collection items, the direct care of existing collections, or both. Collections generally are held by museums; botanical gardens; libraries; aquariums; arboretums; historic sites; planetariums; zoos; art galleries; nature, science, and technology centers; and similar educational, research, and public service organizations that have those divisions; however, the definition is not limited to those entities nor does it apply to all items held by those entities.") (capitalization, prospective capitalization, or no capitalization) 5. e The basis of valuation of property, plant, and equipment—for example, cost for purchased items and [fair value](https://asc.understandingaccounting.org/glossary/f/#fair-value "The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.") for contributed items. #### Major Classes of Property, Plant, and Equipment ##### [360-958-50-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:e8c7e7a9322669e451f5558f50c9ad8cf2ff70657ef2eb9be820bd63fb403d68 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In the disclosures made in accordance with paragraph [360-10-50-1](https://asc.understandingaccounting.org/asc/360/10/#360-10-50-1), separate disclosure shall be made of the following items: 1. a Nondepreciable assets 2. b Property and equipment not held for use in operations, for example, items held for sale or for investment purposes or construction in process 3. c Improvements to leased facilities and equipment. #### Liquidity and Use ##### [360-958-50-3](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:b110844237428118ff9589cd19eef080de348031f83167c14b988ba4922d7719 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The notes to financial statements shall include disclosures concerning the [liquidity](https://asc.understandingaccounting.org/glossary/l/#liquidity "An asset's or liability's nearness to cash. Donor-imposed restrictions may influence the liquidity or cash flow patterns of certain assets. For example, a donor stipulation that donated cash be used to acquire land and buildings limits an entity's ability to take effective actions to respond to unexpected opportunities or needs, such as emergency disaster relief. On the other hand, some donor-imposed restrictions have little or no influence on cash flow patterns or an entity's financial flexibility. For example, a gift of cash with a donor stipulation that it be used for emergency-relief efforts has a negligible impact on an entity if emergency relief is one of its major ongoing programs.") of property, plant, and equipment, including information about limitations on their use. ##### [360-958-50-4](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-4) Pending content: yes Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:e215cd25d500b9147cb69fc19dd961944882e0aa6790b4e3024056510003c0e8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For example, the following information shall be provided: 1. a Property, plant, and equipment pledged as collateral or otherwise subject to lien 2. b Donor or legal limitations on the use of or proceeds from the disposal of plant, property, and equipment 3. c Property, plant, and equipment acquired with restricted assets if title may revert to another party, such as a resource provider 4. d The terms of exchange transactions (other than lease transactions), such as federal contracts, in which the resource provider retains legal title during the term of the arrangement but it is probable that the NFP will be permitted to keep the assets when the arrangement terminates. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)For example, the following information shall be provided: 1. a Property, plant, and equipment pledged as collateral or otherwise subject to lien 2. b Donor or legal limitations on the use of or proceeds from the disposal of plant, property, and equipment 3. c Property, plant, and equipment acquired with restricted assets if title may revert to another party, such as a resource provider 4. d [Subparagraph superseded by Accounting Standards Update No. 2025-12.](https://asc.understandingaccounting.org/updates/asu-2025-12/) #### Works of Art, Historical Treasures, and Similar Assets ##### [360-958-50-5](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:79e1c7847d2598cd774ed4fcfcf1569592e79a94d321fa802d67648330fa9a3c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If not presented separately on the face of the statement of financial position pursuant to paragraph [958-360-45-4](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-4), the amount capitalized for works of art, historical treasures, and similar assets that do not meet the definition of a collection shall be disclosed. ##### [360-958-50-6](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:58f0b81b59d19ede5509e774f471b52597b7b6353aa311453e9136f0e4de5726 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An NFP that does not recognize and capitalize its collections or that capitalizes collections prospectively shall describe its collections, including their relative significance, and its stewardship policies for collections. If collection items not capitalized are deaccessed during the period, it also shall describe the items given away, damaged, destroyed, lost, or otherwise deaccessed during the period or disclose their fair value. ##### [360-958-50-7](https://asc.understandingaccounting.org/asc/360/958/#360-958-50-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:00.636Z to 2026-09-10T00:11:00.636Z Record version: sha256:27a84ed8b83a530855cae218dd72348b50391681a6e9eeb9d82261ef3f72e801 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A collection-holding NFP shall disclose its organizational policy for the use of proceeds from deaccessioned collection items, including whether those proceeds could be used for acquisitions of new collection items, the direct care of existing collections, or both. If the collection-holding entity allows proceeds from deaccessioned collection items to be used for direct care, the entity shall disclose its definition of direct care. Source downloaded (UTC): 2026-09-10T00:11:02.493Z to 2026-09-10T00:11:02.493Z Record version: sha256:01ca4ee836044acc164f0ffb4547b466821668886e9d18649e78cf8b7b0a6183 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 360-958-55: 55 Implementation Guidance and Illustrations [Read section](https://asc.understandingaccounting.org/asc/360/958/#55-implementation-guidance-and-illustrations) SEC content: no ##### [360-958-55-1](https://asc.understandingaccounting.org/asc/360/958/#360-958-55-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:02.493Z to 2026-09-10T00:11:02.493Z Record version: sha256:c0333b9420047c906eee807d4c3d89a9472a8b3fb3a8bc800a67f640625b7ecc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Section, which is an integral part of the requirements of this Subtopic, provides general guidance to be used by a [not-for-profit entity](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFP) in reporting property, plant, and equipment. #### Illustrations ##### [360-958-55-2](https://asc.understandingaccounting.org/asc/360/958/#360-958-55-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:11:02.493Z to 2026-09-10T00:11:02.493Z Record version: sha256:178fa7291e6ac325bc830dac6a3e878037576c461157e0b991797ecdb123af5e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Certain transactions involving collection items are required by paragraph [958-360-45-5](https://asc.understandingaccounting.org/asc/360/958/#360-958-45-5) to be reported separately from items of revenues, gains, expenses, and losses. The following illustrates one possible format that may be used to satisfy those financial disclosure provisions. Additionally, paragraph [958-205-55-10](https://asc.understandingaccounting.org/asc/205/958/#205-958-55-10) contains illustrations of several formats of statements of activities that might be adapted to comply with those provisions. - ![](https://asc.understandingaccounting.org/asc-img/GUID-9618B726-38BD-43B0-A079-BBA02F08F0DC-low.gif) Organization M Statement of Activities " For the Year Ended June 30, 20X1" Without Donor Restrictions With Donor Restrictions Total Revenues and other support XXX XXX XXX Gain on sale of art that is not held in a collection 1 1 Net assets released from restrictions XXX (XXX) "Total revenues, gains, and other support" XXX XX XXX Expenses XXX XXX Change in net assets before changes related to collection items not capitalized XX XX XXX Change in net assets related to collection items not capitalized: Proceeds from sale of collection items 5 10 15 Proceeds from insurance recoveries on destroyed collection items 1 1 Collection items purchased but not capitalized (12) (25) (37) (7) (14) (21) Change in net assets XX XX XXX